When the YMCA announced on the 12th of July that it would become the “Y”, as part of what was coined “a major brand revitalisation”, it seemed the organisation was following practices often used in the for- profit sector. It is a common occurrence for not for profit organisations to be criticised on the grounds that their substantial inefficiencies are rooted in a failure to concentrate on the profit model. However in last week’s Economist Nancy Lubin (one of America’s most successful non profit leaders) states in a new book, “Zilch: The Power of Zero” that the profit sector has something to learn from her sector. In particular she highlights that in tough economic times, businesses would do very well to look for ways of motivating staff that is not centred on financial reward. Ms Lubin also calls into question the usefulness of the term ‘non-profit’ stating her company is not a ‘not for profit’ it is ‘not even trying to make a profit’.
To read more visit The Economist website.
